Active Private Equity Real Estate Strategy

Proven private equity real estate investing strategies

The subprime fallout and credit crisis have triggered a major transition in U.S. real estate. With tightening lending and underwriting standards, speculative investments and construction projects are likely to limited, resulting in constrained supply and healthier fundamentals over the long term. Looking forward, market participants anticipate that the coming years will be fraught with challenges as well as opportunities.

Active Private Equity Real Estate Strategy is a collection of abridged market analyses, forecasts, and strategy papers from the ING Clarion Partners' Research & Investment Strategy (RIS) group. Divided into two comprehensive parts, this practical guide provides you with an informative overview of real estate markets, forecasts, and recent trends in part one, and presents specific active strategies in private equity real estate investing in part two.
* Includes a simulation of the economy in recession and the expected effects on the commercial real estate industry
* Offers examples of portfolio analysis and recommendations using ING Clarion's forecasts and Modern Portfolio Theory
* Focuses on multifamily, hotel, land, and industrial investments
* Demonstrates the use of the various tools available to the private equity real estate investor

Written with both the individual and institutional real estate investor in mind, this book offers specific private equity strategies for investing in real estate during volatile times.

This book has two parts.  Part I provides an overall context discussion of real estate markets, forecasts and recent trends. This section presents ING Clarions view on the national and major urban area markets as well as their analysis of each real estate property type (sector). It illustrates techniques of market analysis and forecasting which set the stage for detailed strategy development later on. Given the highly dynamic period during which these chapters were written, the analysis includes a simulation of the economy in recession and the expected effects on the commercial real estate industry.  Part II of the book presents specific active strategies in private equity real estate investing around the U.S. Each of these studies was developed to identify and analyze real investment opportunities. They focus on multifamily, hotel, land, and industrial investment, along with three niche plays: derivatives, seniors housing and infrastructure. Dr. Lynn also includes an example of portfolio analysis and recommendations using ING Clarions forecasts and Modern Portfolio Theory.

Preface. Acknowledgments. About the Authors. Part I: Market Analysis and Forecasts. Chapter 1: Overview of the U.S. Real Estate Market (Tim Wang and David Lynn). Chapter 2: Forecasting the U.S. Market (David Lynn). Chapter 3: Recession Simulation and its Effects on Real Estate (Tim Wang, Alison Sauer, David Lynn). Chapter 4: Subprime Fallout: The Impact on Commercial Real Estate (Tim Wang and David Lynn). Chapter 5: Capital Markets: Dramatic Shifts and Opportunities (David Lynn and Tim Wang). Chapter 6: The Bid-Ask Problem and Game Theory (Jeff Organisciak, Tim Wang, David Lynn). Part II: Active Strategies. Chapter 7: Residential Land Investment (Bohdy Hedgcock and David Lynn). Chapter 8: The U.S. Hotel Market and Strategy (Tim Wang, Matson Holbrook, David Lynn). Chapter 9: Global Gateway Industrial Market Investment (Bohdy Hedgcock and David Lynn). Chapter 10: The Opportunity in Senior Housing (Tim Wang and David Lynn). Chapter 11: Active Portfolio Management Using Modern Portfolio Theory (David Lynn and Yusheng Hao). Chapter 12: Derivatives in Private Equity Real Estate (Jeff Organisciak, Tim Wang, David Lynn). Chapter 13: Opportunities in Infrastructure Investment (David Lynn and Matson Holbrook). Appendices. References.